Tesla Unveils World’s First Mass-Produced,
Highway-Capable EV
The Model S, which carries its charger
onboard, can be recharged from any 120V,
240V or 480V outlet, with the latter taking
only 45 minutes. By recharging their car
while they stop for a meal, drivers can go
from LA to New York in approximately the
same time as a gasoline car. Moreover, the
floor-mounted battery pack is designed to
be changed out in less time than it takes to
fill a gas tank, allowing for the possibility of
battery-pack swap stations.

The floor-mounted powertrain
also results in unparalleled cargo room
and versatility, as the volume under the
front hood becomes a second trunk.
Combining that with a four-bar linkage
hatchback rear trunk and flat folding
rear seats, the Model S can accommodate a 50-inch television, mountain
bike *and* surfboard simultaneously.
Tesla Please Turn to Page 4

Tesla From Front Cover
This packaging efficiency gives the
Model S more trunk space than any
other sedan on the market and more
than most SUVs.
“Model S doesn’t compromise on
performance, efficiency or utility -- it’s
truly the only car you need,” said Tesla
CEO, Chairman and Product Architect
Elon Musk. “Tesla is relentlessly driving
down the cost of electric vehicle technology, and this is just the first of many
mainstream cars we’re developing.”
Tesla expects to start Model S
production in late 2011. The company
believes it is close to receiving $350 million in federal loans to build the Model
S assembly plant in California from the

Dept of Energy’s Advanced Technology
Vehicle Manufacturing Program.
Building on Proven Technology
Tesla is the only production automaker already selling highway-capable
EVs in North America or Europe. With
0-60 mph in 3.9 seconds, the Roadster
outperforms almost all sports cars in its
class yet is six times as energy efficient
as gas guzzlers and delivers 244 miles
per charge. Tesla has delivered nearly
300 Roadsters, and nearly 1,000 more
customers are on the wait list.
Teslas do not require routine oil
changes, and they have far fewer moving
(and breakable) parts than internal combustion engine vehicles. They qualify
for federal and state tax credits, rebates,
sales tax exemptions, free parking,

Southern Automotive Journal

commuter-lane passes and other perks.
Model S costs roughly $5 to drive 230
miles – a bargain even if gasoline were
$1 per gallon.
T h e
anticipated
base price of
the Model S
is $49,900
after a federal tax credit
of $7,500.
The company
has
not released
options pricing. Three
battery pack
choices will
offer a range
of 160, 230
or 300 miles per charge.
“Model
S costs half
as much as
a
Roadster,
and it’s a better value than
much cheaper
cars,” Musk said.
“The ownership
cost of Model S,
if you were to
lease and then
account for the
much
lower
cost of electricity vs. gasoline
at a likely future
cost of $4 per
July 2009

gallon, is similar to a gasoline car with a
sticker price of about $35,000. I’m positive this car will be the preferred choice
of savvy consumers.”
The standard Model S does 0-60
mph in under six seconds and will have
an electronically limited top speed of
130 mph, with sport versions expected to achieve 0-60 mph acceleration
well below five seconds. A single-speed
gearbox delivers effortless acceleration and responsive handling. A 17-inch
touchscreen with in-car 3G connectivity
allows passengers to listen to Pandora
Radio or consult Google Maps, or check
their state of charge remotely from their
iPhone or laptop.
Tesla is taking reservations online
and at showrooms in California. Tesla
will open a store in Chicago this spring
and plans to open stores in London,
New York, Miami, Seattle, Washington
DC and Munich later this year.n

OEConnection LLC, the leadInitiatives, echoes this connection. “The
oping an integrated dealer parts neting Online Parts & Service Exchange
automotive industry is not alone in its
work that will provide efficiencies for
in the automotive industry, announced
quest to develop advanced supply netour channel’s ability to improve their
recently its agreement with Navistar, Inc.
works by leveraging in-channel OE parts
parts procurement process. Specifically,
(NYSE: NAV) to provide their parts supinventories,” says Rose. “These same
reducing the amount of time it takes
ply chain and intelligence tools. Navistar
challenges of getting the right parts to
us to fulfill backordered part requests
is the first non-automotive manufacthe right place exist in industries such as
will result in increased vehicle uptime
turer to select OEConnection to provide
heavy-duty truck and heavy equipment,
for our customers. Doing so will allow
software solutions to its organization,
where vehicle uptime is directly related
us to increase overall productivity, and
joining 14 automotive manufacturers
to productivity. OEConnection’s experOEConnection comprehensive tools will
and over 15,000 dealerships throughout
tise in providing technology solutions
help us with this endeavor.”
North America that are already utilizing
makes us a perfect fit to help Navistar
James Rose, Jr., OEConnection Vice
OEConnection’s web-based tools.
with their parts fulfillment needs.”n
President of Emerging Markets & OEM
Navistar will implement
OEConnection’s solutions for
280 International(R) dealerships across 800 locations
in the US and Canada. Upon
implementation, International
Truck dealerships will have
access to OEConnection’s
online parts sourcing and idle
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By enabling the dealership
Drawing Sepember 31, 2009
channel’s parts inventories to
be utilized in fulfilling backorders and other part types,
OEConnection’s solutions will
help ensure International vehicles are repaired and on the
road faster. These tools will also
enable Navistar initiatives that
limit in-channel idle inventory
and provide boosted fill rates
even as capital investment in
PDC parts inventories are conDirect 678-259-9500
strained.
“We’re incredibly pleased
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that Navistar has chosen
OEConnection to help achieve
their goals of improved parts
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Rotuno, President and CEO
of OEConnection. “In these
Call Ken McMillan,
tough economic times, organizations are looking to improve
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operations. OEConnection is
uniquely positioned to provide Navistar with solutions
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performance.”
Rommel
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Navistar Vice President Parts
Sales and Marketing, indicates
“Navistar is focused on devel-

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July 2009

Southern Automotive Journal

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Southern Automotive Journal

Eddie Kelley

July 2009

Volkswagen Factory in Chattanooga Foundation for Future U.S. Strategy
The Governor of the State of
Tennessee, Phil Bredesen, and Professor
Dr. Jochem Heizmann, Member of the
Board of Management of Volkswagen
AG with responsibility for Group production, were joined Thursday (2.00
p.m. local time), by invited guests to
celebrate the placement of the first wall
at the new U.S. factory in Chattanooga,
Tennessee. The plant represents a major
milestone for the Volkswagen Group in
attaining its ambitious growth targets
for the North American market.
Production in Chattanooga will
begin in 2011 with a maximum annual
capacity of 150,000 vehicles.
Over the coming months, modern, environmentally-friendly buildings housing a body
shop, paint shop, assembly and
offices will be built on the site
which covers approximately
1,580 acres.
“Our own car production ‘made in America’ is an
important core element of our
growth strategy on the U.S.
market. That is why today
is a major milestone for the
Volkswagen Group. The automobile will always be an essential part of the American way
of life. Despite the present
situation on world markets,
the U.S. market will recover
and Volkswagen will be ready
when that happens,” said
Prof. Dr. Heizmann. “Our new
plant in Chattanooga sends a
clear and strong message for
Volkswagen, for the automotive industry and for the state
of Tennessee. The United States
is a great car nation and we
believe in a promising future
for Volkswagen here.”
Volkswagen Group of
America will invest $1 billion
in the plant and employ 2,000
people. As a result of this
investment, an independent
study estimated the overall
impact of the plant will generate an additional $12 billion in
income growth and more than
9,500 indirect jobs over the life
of the project.

The Chattanooga factory will
build a new mid size sedan specially
designed for the North American market. Approximately 30 percent of these
cars will be powered by Volkswagen’s
TDI Clean Diesel Technology.
“The partnership between the
state, the community and Volkswagen
is creating an impact that is literally
concrete,” said Governor Bredesen. “The
dramatic change we’ve seen on this site
over the past year is clear evidence
of Volkswagen’s commitment to the
people of Tennessee and to the future
of the company.”

July 2009

“This is a big day in our company’s history. Today, we are putting down new roots in the United
States of America. And we are entering a long-term partnership with this
community, this state and this country,” said Frank Fischer, Chairman and
CEO of Volkswagen Group of America
Chattanooga Operations, LLC
“You can see our commitment
take tangible form in this wall. But
that commitment is far more than
bricks and mortar. Building a plant
VW Factory Please Turn to Page 22

Southern Automotive Journal

Engine Repower Council Opposes ‘Cash for Clunkers’ Program

The Engine Repower Council
strongly opposes the federal “Cash for
Clunkers” program that is part of the
current economic stimulus package
being considered by Congress.
The Cash for Clunkers program
would earmark federal funds for car
owners to trade in their older vehicles
in exchange for vouchers to be used
to obtain newer, more fuel efficient
vehicles. These programs are of concern
to the vehicle aftermarket since vehicles are scrapped that could be more
cost effectively repaired, increasing the
country’s carbon footprint and reducing
the availability of parts for rebuilders.
Congress has considered Cash
for Clunker proposals in the past and
has decided against them in every

case. In fact, states are prohibited from
using federal funding for state-run
Cash for Clunkers programs under the
Congestion Mitigation and Air Quality
Improvement Program (CMAQ). There
have been numerous attempts to lift
this prohibition, however once lawmakers realize that Cash for Clunkers programs focus only on a vehicle’s age and
not its emission levels, they understand
that these programs are not cost-effective and do not positively impact air
quality or fuel economy. Therefore, time
after time, the prohibition has remained
in tact.
“Many states have attempted to
implement this type of vehicle retirement program in the past, but have
abandoned the effort because they sim-

ply don’t work,” said Steve Rich, chairman
of the Engine Repower Council. “While
the programs have a certain appeal to
politicians and are sold on the fact that
they will get older vehicles off the road,
the fact is that these programs reduce
the availability of affordable transportation for drivers who, by taking such steps
as engine repowering, can keep a vehicle
in safe, efficient working order rather
taking on the expense of a new vehicle.”
Interested parties can send an
e-mail in opposition to the Cash for
Clunkers program to the Speaker of
the House, the Senate Majority Leader
and their congressional representatives
by visiting http://capwiz.com/aftermarket/home/ and clicking on “Take
Action.”n

Most New-Car Shoppers Say ‘Cash-for-Clunkers’ Would Not Affect Purchase Timeframe
Kelley Blue Book, www.kbb.com,
the leading provider of new car and
used car information, has announced
the results of the latest Kelley Blue Book
Market Intelligence survey of in-market
new-car shoppers on kbb.com, detailing
consumers’ opinions on the ‘cash-forclunkers’ proposal.
When provided specifics about the
‘cash-for-clunkers’ bill as it is currently
proposed, 38 percent of in-market newcar shoppers said it would have no effect
on their purchase timeframe because
they do not have a vehicle to turn in
that meets the parameters of the program. However, 13 percent of consumers

say they would be highly motivated to
purchase a new vehicle sooner due to
‘cash-for-clunkers,’ and an additional 26
percent want to learn more about the
program, even if it would not affect their
vehicle purchase timing.
“The latest Kelley Blue Book Market
Intelligence data is quite telling, showing
that most consumers will not change
their purchase timeframe if a ‘cash-forclunkers,’ bill passes, largely because
their trade-in does not meet the program’s requirements,” said Jack R. Nerad,
executive editorial director and executive market analyst for Kelley Blue Book
and kbb.com. “But since more than 10

percent say the program will motivate
them to buy a new car sooner, it may
result in an increase in new-car sales, and
that could do nothing but help an industry in need of some upward impetus.”
In addition, the Kelley Blue Book
survey found only 36 percent of in-market new-car shoppers were aware of
the ‘cash-for-clunkers’ proposal. Of those
aware of the bill, 77 percent understood
the current terms, namely that the government will provide between $2,000
and $4,500 vouchers to people who will
swap out their older model vehicles with
poor gas mileage for new, more fuel-efficient models.n

“Cash for Clunkers” is an Environmental Clunker
As “Cash for Clunkers” legislation moves closer to becoming law, the
unintended negative consequences of
this radical bill should be of concern to
all Americans. The legislation, which in
theory is supposed to be environmentally-friendly, would actually increase
the amount of pollution generated for
years to come.
“’Cash for Clunkers’ is touted as
protecting the environment by taking
older vehicles off the road and replacing
them with new, more fuel efficient vehicles. The reality is that these scrapped
vehicles will be heading to landfills.
It’s ironic that a proposal designed to
reduce pollution will actually further
damage the environment,” said Aaron
Lowe, vice president of government
affairs for the Automotive Aftermarket
Industry Association (AAIA). “While the
true intention of this legislation is not to
protect the environment but to financially stimulate the automobile industry in the short term, the hidden costs
of this bill could cause environmental

havoc indefinitely.”
The “Cash for Clunkers” amendment, included as part of the American
Clean Energy and Security Act of 2009
(HR 2454), states that “For each eligible trade-in vehicle, the title of
which is transferred to a dealer under
the Program, the dealer shall certify to
the Secretary, in such a manner as the
Secretary shall prescribe by rule, that
the vehicle, including the engine and
drive train - i) will be crushed or shredded within such period and in such
manner as the Secretary prescribes, or
will be transferred to an entity that will
ensure that the vehicle will be crushed
or shredded within such period and
in such manner as the Secretary prescribes; and ii) has not been, and will not
be, sold, leased, exchanged or otherwise
disposed of for use as an automobile in
the United States or in any other country, or has been or will be transferred,
in such a manner as the Secretary prescribes, to an entity that will ensure that
the vehicle has not been, and will not

be, sold, leased, exchanged or otherwise disposed of for use as an automobile in the United States or in any other
country.”
“Cash for Clunkers is loaded with
so many potholes that the American
people will be paying a steep bill both
economically and environmentally for
a long time,” continued Lowe. “In addition to the wasteful nature of destroying
perfectly good vehicles, a tremendous
amount of energy and resources will
be exhausted to build new vehicles to
replace the scrapped ones. Providing
incentives for motorists to have their
current vehicles maintained for fuel efficiency would be a much better use of
federal money that would truly benefit
the environment.”
Interested parties can send an
e-mail in opposition to the Cash for
Clunkers program to the Speaker of the
House, the Senate Majority Leader and
their congressional representatives by
visiting www.fightcashforclunkers.org
and clicking on “Take Action.”n

“NADA congratulates Rep. Sutton
and the House Energy and Commerce
Committee on their success in advancing a cash-for-clunkers amendment on
the climate change bill. A successful fleet
modernization program will provide significant economic and environmental
benefits to the nation.
“NADA will now work with both

House and Senate leadership to refine
the program in order to maximize
consumer demand and stimulate new
vehicle sales. A cash-for-clunkers program gets gas-guzzlers off the road and
replaces them with more fuel economical vehicles. This will help boost auto
sales which, in turn, will help revive the
overall economy.”n

NADA Applauds Progress of Cash-for-Clunkers Legislation
The National Automobile Dealers
Association issued the following statement of support from David Regan,
NADA vice president for legislative
affairs, following the passage of the
cash-for-clunkers amendment, sponsored by Rep. Betty Sutton (D-Ohio),
during the markup of H.R. 2454, the
American Clean Energy & Security Act:

NADA Statement on GM Dealership Cuts
General Motors’ plans to cut its
dealer network are drastic and far-reaching and will impact more than 63,000
dealership employees and thousands of
their sales and service customers.
We view GM’s action with a profound sense of sadness and disappointment.

GM’s decision comes through no
fault of the dealers, who are, in many
cases, family-run businesses that have
been loyal partners with GM – through
good times and bad – for multiple generations.
NADA fully expects GM to honor
all its obligations to the affected deal-

ers, whether or not they decide to wind
down their operations. It’s critical for GM
to treat each affected dealer fairly and
equitably.
NADA will work aggressively on
all fronts with regard to assisting these
dealers during these historically challenging times.n

NADA Statement on Chrysler’s Dealership Reduction Announcement
The announcement by Chrysler
that it is rejecting 789 of its Chrysler,
Dodge and Jeep dealers marks a very
sad day in retail automotive history.
These dealers and their more than
40,000 employees have done nothing but proudly represent the Chrysler
brand through good times and bad, and
today find themselves left behind as
the company reorganizes itself in bank-

ruptcy court.
While NADA understands the realities of the current marketplace, we also
know that dealers didn’t cause the situation that Chrysler finds itself in today.
Furthermore, we believe that these draconian dealer cuts are not only misguided but counterproductive. Fewer dealers
mean less revenue for the automakers.
Dealers are the manufacturer’s custom-

July 2009

er; they buy the cars and parts and even
the signs in front of their dealerships.
NADA fully expects Chrysler to
honor all its obligations to the affected
dealers who have been nothing but
good partners over the years.
NADA will continue to work
aggressively on all fronts with regard
to assisting these dealers during these
historically challenging times. n

Southern Automotive Journal

11

I-Car Thanks Volunteers During National Volunteer Week
In recognition of their enormous
contribution of time and energy, I-CAR
asks members of the collision inter-industry to thank the thousands of volunteers who make I-CAR training possible
during National Volunteer Week from
April 19-25. Established in 1974, National
Volunteer Week presents an opportunity
to celebrate the ordinary people who
accomplish extraordinary things through
their volunteer service.
As part of its celebration of industry volunteers, I-CAR has launched a
volunteer recruitment and training initiative along with a volunteer recognition program in conjunction with the
President's Council on Service and Civic
Participation.
“I-CAR volunteers make a difference in the lives and careers of tens of
thousands of collision inter-industry professionals each year through their dedicated service to training and education,”
said John Edelen, I-CAR President and
CEO. “As we prepare to celebrate volunteerism and inter-industry training at the
I-CAR 30th Annual Industry Conference

12

Southern Automotive Journal

in July, there can be no better way to
launch these celebrations than through
the recognition of these dedicated interindustry volunteers.”
Individuals interested in becoming an I-CAR volunteer, along with those
who already give their time to interindustry education, can now participate
in a series of I-CAR Volunteer Orientation
training seminars designed to improve
the volunteer experience and help individuals achieve their personal goals.
According to Mike Miller, I-CAR
Field Support Manager, “This four-part
Volunteer Orientation program will help
both new volunteers and our veterans
better leverage the time they invest in
their local volunteer I-CAR committees.
As a training organization, providing
these seminars was a natural path to take
to improve the volunteer experience.”
Information on the I-CAR Volunteer
Orientation training seminars including a
seminar schedule is available at the I-CAR
website by clicking on the Committee/
Volunteers link near the bottom of the
home page.

July 2009

I-CAR also announced that it has
been approved by the President's Council
on Service and Civic Participation to recognize individuals for their volunteerism
with the President's Volunteer Service
Award.
“I-CAR has recognized its volunteers since the organization’s inception
nearly 30 years ago,” said Jeff Peevy, I-CAR
Director of Field Operations. “Adding the
President’s Volunteer Service Award eligibility is an honor our volunteers greatly
deserve.”
The President's Council on Service
and Civic Participation created the
President's Volunteer Service Award
program as a way to thank and honor
Americans who, by their demonstrated
commitment and example, inspire others to engage in volunteer service. The
President's Volunteer Service Award recognizes individuals, families, and groups
that have achieved a certain standard
– measured by the number of hours
served over a 12-month period or cumulative hours earned over the course of a
lifetime.n

Kia Motors’ New Five-passenger Vehicle Offers Consumers A New Way To Roll

Kia Motors America (KMA) rolls out
the all-new 2010 Kia Soul urban passenger vehicle onto the streets of Miami, following its recent North American debut
during the 2008 Los Angeles Auto Show.
Soul stands out from the crowd with
modern, unique styling aimed toward
the young and young-at-heart. Designed
by Kia Motors’ Southern California-based
design team, Soul is the newest product offering to join the company’s everexpanding line-up and is currently on
sale at dealerships across the United
States.
“Soul offers the perfect combination of style, value and personalized
options,” said Michael Sprague, vice
president of marketing, KMA. “It defies
categorization and has a long list of features and available accessories that really
speaks to today’s consumer.”
Available in four trims, Soul, Soul+,
Soul! (exclaim) and Soul sport, pricing
for the versatile five door will begin at
$13,300 for the base trim, while Soul+
starts at $14,950 and tops out at $17,100
when all options are included. Moving
up to the Soul! offers a price beginning
at $16,950 and peaks at $17,900 with all
available options included and the Soul
sport, designed for those with active
lifestyles, starts at $16,950 and tops out at
$18,600 with all available options included.

Soul’s tagline, “A new way to roll,”
positions the car as the first of a line
of next-generation Kia vehicles set to
launch during the next two years. The
new ad campaign for Soul also is different from what KMA has done in the past,
celebrating how Soul playfully stands
out in a sea of sameness.
Edgy and Confident Exterior
Soul’s low, wide stance is paired
with an angled window line, rounded
nose and large flared back headlamps,
giving it a playful and youthful appearance. With a friendly face and exuberant
personality, Soul is perfect for coasting
along the beach or cruising downtown
city streets, embodying the vehicle’s tagline “A new way to roll.”
The beltline rises from the front
wheel arch to create a gentle wedge
shape and continues under and around
the rear side window. The rear is dominated by the vertical rear combination
lamps set into the body color panel with
clear outer lenses. The body and wheel
arch crease line extends around the
bumper for a tough, not rough, style
matching the look of the front.
Offering plenty of standard features, the Soul trim offers a chromeaccented grille, clear lens auto-off headlamps, solar glass, black door handles
and side mirrors, body-colored front
July 2009

and rear fascias with black inserts, black
bodyside molding, rear wiper/washer,
variable intermittent windshield wipers and 15-inch steel wheels fitted with
P195/65R15 tires.
Spacious, State-of-the-Art Interior
Inside the cabin is where Soul really shows its power to surprise. For those
who want a personal lounge on wheels
or an efficient cargo carrier with 14 storage zones, Soul has it covered. While
Soul offers a relatively small footprint,
it offers a surprisingly spacious interior. Passengers will find comfort in the
roomy cabin that offers 40.2/39.6 inches
of headroom (front/rear), shoulder room
of 55.2/55.1 inches, 42.1/39.0 inches of
legroom and a passenger volume of
102.3 cubic feet.
All five adult passengers will find
ingress and egress simple and effortless,
credited to tall doors and a high seating position, and each Soul has its own
personality credited to multiple options
for interiors with different colors, fabrics
and audio system packages available for
selection.
Soul’s interior design is decidedly
influenced by the car’s highly specified
audio system. An uncluttered dashboard
with a three-dial instrument cluster, LCD
Soul Please Turn to Page 19
Southern Automotive Journal

13

2009 Infiniti Fx Offers Luxury, Performance And Suv Utility, Along With New Advanced
Safety Technology
Created as a
including a beautifully
fusion of luxury, performance and the utility of an SUV, it offers
head-turning styling
and an advanced sports
platform, along with a
choice of a new 390horsepower 5.0-liter 32valve DOHC V8 engine
with VVEL (for Variable
Valve Event & Lift) or
303-horsepower 3.5liter 24-valve DOHC V6.
Each engine is paired
with standard 7-speed
automatic transmission
featuring Adaptive Shift
Control (ASC) and available solid magnesium
paddle shifters.
The 2009 FX is
also offered with available Intelligent All-Wheel Drive, doublewishbone front/multi-link rear suspension and large 4-wheel disc brakes, along
with available Continuous Damping
Control (CDC) suspension system, RearActive Steer and 21-inch Enkei super
lightweight aluminum-alloy wheels.
“The Infiniti FX combines sporty
performance with the utility of an SUV
– an unbeatable combination that we’ve
taken to even higher levels with the new
second-generation FX design,” said Mark
Igo, vice president and general manager,
Infiniti. “For 2009, FX continues the technology leadership that was a hallmark of
the original, including a new, advanced
5.0-liter V8 design, 7-speed automatic
transmission and an incredible array of
innovative safety features designed to
reduce the stress of everyday driving.”
As a showcase of Infiniti’s innovative technology capabilities, the new FX
offers a number of available advanced
safety systems – including Intelligent
Brake Assist (IBA), which provides forward collision warning and automatic
emergency braking if a collision with
the vehicle ahead is imminent; Distance
Control Assist (DCA), which reduces the
burden of driving in heavy traffic by intuitively helping to release the throttle and
apply the brakes to maintain a safe dis14

Southern Automotive Journal

tance from the vehicle ahead; and Lane
Departure Warning/Lane Departure
Prevention system, which helps keep
the vehicle in its travel lane.
Inside, the new FX interior provides a warm, modern, inviting environment highlighted by a driver-oriented
cockpit with intuitive controls, available
sport seating and advanced audio, navigation and technology ranging from an
11-speaker Boseâ-developed audio system to Infiniti Intelligent Key, available
Intelligent Cruise Control (Full Speed
Range) and available Around View
Monitor system.
The all-new FX is available in three
models: FX50 AWD with 5.0-liter V8,
FX35 AWD with 3.5-liter V6 and, and
FX35 RWD with 3.5-liter V6.
The all-new FX continues with the
head-turning exterior styling and sporty
proportions that helped the first-generation FX stand out from all other performance luxury crossovers on the market
– a long hood, stretched wheelbase,
short front and rear overhangs, and low
center of gravity.
“The Infiniti FX’s aggressive styling serves notice of its performance
underpinnings, yet FX also offers room
for five and the cargo capacity to hold
four full-size golf bags,” said Igo. “FX
proves that utility comes in all shapes,
July 2009

elegant one.”
For 2009, distinctive side air vents have
been added behind
the front wheels. Like
everything else on the
FX, the new side air
vents are about function, not mere ornamentation. They allow
air to flow through the
engine compartment
and out the side of the
vehicle, reducing front
end lift by a full five
percent, improving
high speed stability.
The new FX’s
wheelbase has been
stretched approximately 1.4 inches,
with the front wheels
moved forward and out – providing an
even more pronounced performance
stance. The front end look has also been
refined, though it retains the FX’s traditional, lustrous Infiniti signature doublearch front grille, fog lamps and iconic
High Intensity Discharge (HID) bi-xenon
projector headlights.
FX’s aggressive silhouette is once
again highlighted by a strong front-torear shoulder line, tight greenhouse,
kicked-back roofline and integrated rear
spoiler. The large LED taillights extend
beyond the body, helping create aerodynamic downforce, while big dual
exhaust outlets with chrome finishers
cap the action-ready appearance.
The coefficient of drag has been
lowered to 0.35 (FX35) from 0.37, with
the engineers finessing even the smallest details to help manage airflow,
including the front bumper sides, rear
spoiler angle and, again, taillight shape.
Under FX’s polished, assertive
styling is an equally advanced body
structure. FX utilizes the rigid platform
architecture used on the performanceslanted Infiniti G Sedan, G Coupe and M
Sedan. The FM platform offers a performance foundation and balanced frontFX Please Turn to Page 21

NADA Chairman Urges Congress to Intervene to Prevent
Unfair Treatment of Auto Dealers
Bankruptcy courts should not be used
to circumvent rights under state laws

to empower GM to do this.”
McEleney called GM’s efforts a
manipulation of the bankruptcy process to eviscerate the state franchise
laws.
“State franchise laws inject balance in the inherently one-sided economic relationship between a dealer
and the manufacturer and provide consumers a reliable, convenient, and com-

petitive auto retail network,” McEleney
added. “The terms of the GM "go-forward" Agreements must be changed.
No manufacturer has ever imposed
such outrageous terms in dealer operator agreements.”
Chrysler and GM have announced
plans to terminate 3,400 dealerships,
which will affect more than 100,000
employees.n

John McEleney, chairman of
the National Automobile Dealers
Association, commended a Senate committee for focusing on the unfair treatment of the General Motors and Chrysler
dealers. Also, McEleney expressed grave
concerns about GM’s plan to require
all of its surviving dealers
to sign a one-sided, openended operating agreement
as a condition for remaining
a GM dealer.
GM delivered the socalled “Participation Letter,”
actually a 24-page binding,
legal contract, to all of its
Call Steve with 30 Years of GM
surviving dealers on Tuesday,
Parts Experience
June 2.
Local
770.274.1131
“If I sign it, I will be
Toll Free:
committing my business to
1.800.727.5920
STEVE
spend hundreds of thousands of dollars that I know
GM Exclusise Parts Team
e!
about today, and coml
b
ila
Direct GM
mitting to millions of dolAva
w
o
706-776-1144
N
lars of potential financial
Toll Free
obligations in the future,”
866-262-7407
DONALD
McEleney said.
Fax
MANAGER
Ext.
“Also, I will be subject706-776-7398
125
ing my business to sales performance standards that are
not specified in the contract.
Even worse, GM can alter the
JIMMY
KEN
AJ
ROGER
terms of these requirements
EXT.
EXT.
EXT.
126
135
123
at any time at its sole discretion. The final blow: I must
Direct Conncect Sales for GM - Chrysler -Aftermarket
waive any right of protest
to any action taken by the
manufacturer,” he added.
“This is a classic examKELI
CHRIS
MATT
FRANKLIN
ANDY
LEE
DANIEL
ARNOLD
ple of opportunistic and
Local
Local
Local
Local
Local
Local
Local
Local
478.971.1379
770.274.1127
overreaching behavior by
770.274.1121
770.274.1130
770.274.1128
770.274.1122
770.274.1123
770.274.1132
Toll Free:
Toll Free:
Toll Free:
Toll Free:
Toll Free:
Toll Free:
Toll Free:
Toll Free:
the manufacturers that has
1.800.727.5912 1.800.727.4702
1.800.727.5593
1.866.399.4245 1.800.727.5611
1.800.344.9017
1.800.605.9294 1.800.727.5641
FAX
prompted the enactment
478.971.8248
Customer Support
by the legislatures of all
Customer Service Team
50 states of franchise laws
governing the relationship
between dealers and their
manufacturers,” McEleney
CHUCK
BRENDA
AFTERMARKET MANAGER
MARKETING MANAGER
added. “No other manufacKEVIN
CLIFF
DAN
JIM
JERRY
turer has forced dealers to
sign such an onerous agreement. This is NOT necessary
for GM’s viability, and federal funds are being used
July 2009

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Soul From Page 13
illumination and floating center stack
design is the key visual feature and
offers enticing access to the AM/FM/
CD/MP3 audio system outfitted with
SIRIUS Satellite Radio capabilities and
three months complimentary service.
Standard USB and auxiliary input jacks
also are in the center console with full
iPod® and MP3 controllability via the
audio head unit and steering wheel controls achieved with
an optional accessory iPod cable.
Additional
standard interior features that make the
Soul stand out from
the rest include air
conditioning,
tilt
steering
column,
power door locks,
power windows with
driver’s side auto-down, external temperature display and digital clock in the
radio, an upper storage bin, dual-level
glove box, 12-volt power outlet, rear
window defroster, cargo area light and
a dome light with delay out. Soul is stylishly appointed with
black cloth seats, adding to its comfortable
interior. A 60/40 splitfolding rear seat offers
multiple seating and
cargo arrangements
depending on driver
and passenger needs.
Soul+
offers
additional standard
features including
cruise control with
steering wheel-mounted controls,
Bluetooth® hands-free connectivity,
dual 12-volt power outlets and tweeter
speakers, all enhancing creature comforts on the road. Also standard on the
Soul+ is a covered upper storage bin,
dual visor vanity mirrors with covers and
dual map lights, while black cloth seats
are adorned with Soul logo inserts, further personalizing the cabin.
Advancing to the Soul! adds a
leather-wrapped steering wheel and
shift knob and carpeted floor mats, combined with unique sand-black cloth interior trim with houndstooth inserts for a

distinguishing Soul style. For the Soul!
and Soul sport (and an option for Soul+),
a standard Audio Upgrade Package
enhances the sound with center speaker,
subwoofer, 315-watt external amplifier
and speaker lights that pulse to the beat
of the music
or simply add
mood lighting.
For those
with
more
active lifestyles

looking for even
more exhilaration,
the Soul sport
offers a sporttuned suspension, metal pedals,
unique and bold
red-black interior trim with sporty redtrimmed cloth seats and metal-finish
interior accents.
Unique Platform/Chassis
Soul is different, right down to its
all-new platform. With its
own unique
style,
Soul
features frontwheel drive, a
high roofline
and wide, distinctive stance.
Built with a

wheelbase of 100.4
inches, an overall
length of 161.6 inches, an overall width
of 70.3 inches and
overall height of
63.4 inches, the Soul
offers a comfortable
interior with roomy
seating for up to
five passengers. Constructed with more
than 70 percent high-tensile-strength
steel to enhance structural strength
without adding a lot of weight, the allnew, Kia-engineered body achieves high
July 2009

torsional stiffness, benefiting handling,
ride quality and refinement. Additional
measures to help ensure good noise
vibration and harshness (NVH) reduction qualities are fitted throughout the
Soul, including a thicker dash panel,
an A-pillar noise-absorber pad and
an optimized exhaust silencer and a
vibration-damper.
Soul features a fully independent, sub-frame mounted front suspension system with MacPherson
struts, coil springs, gas shock absorbers and stabilizer bar designed to
maximize the friction
between the tires and the
road, providing steering
stability with responsive
handling to offer passengers optimal comfort. At
the rear, Soul’s suspension
is sub-frame mounted with a transverse
torsion beam axle with trailing arms,
coil springs and gas shock absorbers
for a smooth ride and minimum intrusion into the cargo space. Soul sport
models features a unique sport-tuned
suspension that includes firmer springs,
re-tuned shock absorbers and a larger
front stabilizer bar resulting in a lively,
more energetic ride.
Under-the-Hood
Soul offers a smooth and spirited ride. Its 1.6-liter, four-cylinder engine
is mated to a five-speed manual transmission, which produces 122 horsepower and 115 pound-feet of torque. For
those looking for a little more power, a
2.0-liter four-cylinder engine is available
with either the
five-speed manual or a four-speed
automatic transmission. The latter
engine produces
142 horsepower
with 137 poundfeet of torque,
and is standard on
Soul+, Soul! and
Soul sport models. Fuel economy
for the 1.6-liter manual comes in at an
impressive 26/31 mpg (city/highway)
while the 2.0-liter offers a thrifty, fuelsipping 24/30 mpg for both the automatic and manual transmissions.n
Southern Automotive Journal

19

Nevada Assembly Considers Salvage Bill That Could Harm Collision Repairers
The Nevada Senate passed
Nevada Senate Bill 360 earlier this year,
which is now being considered by the
Nevada State Assembly. S.B. 360 has
been amended in the Assembly and
if it passes will have to go back to
the Senate. The Salvaged Vehicles Act
revises provisions governing the sale
and title of salvage vehicles.
Specifically, this bill:
• Authorize s a person other than
an auto wrecker, dealer of new or used
motor vehicles or rebuilder to obtain
an identifying card and bid to purchase
a vehicle other than a nonrepairable
vehicle from the operator of a salvage
pool;
• Imposes a fee for the issuance of
such a card;
• Prohibits a person who obtains
such a card from purchasing from the

operator of a salvage pool more than
three vehicles in any calendar year;
• Increases the period within which
an insurance company or its authorized
agent must submit an application for
a salvage title or nonrepairable vehicle
certificate for a salvage vehicle;
• Provides a penalty; and
• Provides other matters properly
relating thereto.
The
Automotive
Service
Association (ASA) opposes this bill
because it is anti-consumer and not in
the best interests of the collision repair
industry.
Bob Redding, ASA’s Washington,
D.C., representative, said of S.B. 360:
“This legislation is not helpful to the
collision repair industry or to consumers. If it becomes law, the price of a
salvage vehicle could increase, pushing

more vehicles into the salvage pool,
thus fewer repairs. If passed, we will see
more vehicles taken out of the marketplace, which is not good for collision
repairers.”
Redding goes on to discuss the
risks for highways. He said, “There is
a risk of vehicles being placed on the
road that should not be, without significant inspection and repair. Generally,
our state inspection laws are not sufficient to protect the motoring public
from these types of transactions. Those
in less-developed countries will have
even fewer consumer protections.”
To see the text of Nevada Senate
Bill 360, visit ASA’s legislative Web site
at www.TakingTheHill.com. To send a
letter to your Nevada legislators, visit
www.TakingTheHill.com and click on
“View Current Alerts."n

FX From Page 14
to-rear weight distribution for exceptional handling.
Efforts were taken to reduce weight
and enhance body strength, including
the use of new aluminum outer door
panels. The overall FX body structure
weighs nearly 200 pounds less than
the previous generation FX (overall total vehicle weight is increased,
however, due to additional standard
equipment).
The new FX also utilizes Infiniti’s
advanced Scratch Shield paint, a special “self-healing” clearcoat paint that
repairs fine scratches, such as fingernail scratches under door handles,
over a period of several days, using
sunlight to heat the clearcoat, causing small scratches to fill in. Scratch
Shield paint is standard for all available exterior colors.
The 2009 Infiniti FX’s interior
features a command center-style
cockpit designed to enhance the
driving experience. The available
leather-appointed 10-way poweradjustable sports driver’s seat
includes variable air-inflating lumber
support and available manual thigh
extensions. The front passenger seat
offers 8-way power adjustments, and
both front seats are available with a
new quieter, more efficient heating and
cooling functions for maximum comfort
in any season.
Performance has always been the
hallmark of the Infiniti FX – both acceleration and braking, along with tight,
responsive handling. The 2009 FX ups
the standards in all areas.
The new Infiniti FX50 model, which
replaces the previous FX45, features a
dramatic new 5.0-liter V8 engine design
rated at 390 horsepower and 369 lb-ft of
torque (versus the previous generation
FX45’s 320 horsepower and 335 lb-ft of
torque).
The new engine also offers a high
rev limit, a powerful engine sound from
a specially tuned exhaust and improved
fuel economy versus the previous 4.5liter V8.
One of the keys to the new V8’s
impressive performance is the adoption
of Infiniti’s patented Variable Valve Event

camshafts, which feature continuously variable lift control
teamed with a Continuously
Variable Valve Timing Control
System (CVTCS), allow for a
6,800 rpm redline and a
high compression ratio of
10.9:1.
Only one transmission is offered on the new
FX – an all-new 7-speed
transmission, the first ever offered on
an Infiniti vehicle. This new transmission
offers both a wide ratio of coverage and
a wide lock-up area, as well as a manual
shift mode, Downshift Rev Matching and
Adaptive Shift Control (ASC).
The standard ASC system adapts
the transmission’s shift timing, depending on driving style, ensuring more
responsive performance. ASC can switch
between several different programs –
adjusting gear hold and downshifting,
July 2009

helping the FX feel more like a manual
shift transmission when desired.
FX50 AWD and FX35 AWD models are equipped with Infiniti’s advanced
ATTESA E-TSÔ (Advanced Total Traction
Engineering System for All Electronic
Torque Split) all-wheel drive system,
which uses an advanced torque split
control strategy that automatically
transfers optimum torque to the
wheels according to road and driving conditions. The system provides
outstanding handling due to optimum torque distribution from front
to rear (50:50 up to 0:100). ATTESA
E-TSÔ also provides high starting
traction performance and smooth,
stable acceleration, especially in
snow-covered or off-road situations
with a 50:50 torque split at standing
start.
FX offers independent suspension at all four corners, with a new
double-wishbone suspension design
in front, tailored for FX’s large wheels
and tires, yet similar to that utilized
on the Infiniti G Coupe and Sedan
and Infiniti M sedan. It replaces the
previous generation FX’s front struttype suspension and offers better
ride and improved handling. FX’s
rear suspension utilizes the multilink design from the previous generation, refined
to weigh less and provide
more wheel travel – again
for improved ride and handling. Large diameter stabilizer bars are utilized front
and rear.
The suspension system
also incorporates special “Dual
Flow Path” (DFP) shock absorber technology with rebound
springs for responsive yet comfortable ride and firm, tight handling.
Secure braking performance
is provided by the FX’s 4-wheel ventilated disc brakes with Brake Assist (BA)
and Electronic Brake force Distribution
(EBD). The FX50 system includes 4-piston
front/2-piston rear (opposed piston) calipers, similar to those utilized on the new
Infiniti G37 Coupe, and large brake rotors
(14.0-inch front/13.8-inch rear).
FX Please Turn to Page 24
Southern Automotive Journal

21

VW Factory From Page 7

and providing jobs doesn’t make you
a good corporate neighbor. You have
to become part of the community. You
have to respect and protect the environment. You have to help nurture the
next generation. These are the things
that Volkswagen is committed to here
in Tennessee and throughout America,”
added Stefan Jacoby, President and
CEO of Volkswagen Group of America.
“The American auto industry is
wherever Americans -- and especially
Tennesseans -- are building cars and
trucks,” said Senator Alexander (RTenn.), who, as Tennessee’s governor in
the 80s, helped bring the auto industry
to Tennessee for the first time. “VW’s
new plant in Chattanooga means more
jobs, and not just for the plant itself.
VW’s investment in the Chattanooga
community will serve as a jobs magnet,
bringing thousands more auto-related
jobs to Tennessee.”
Since the beginning of the project, nearly $272 million in local contracts have been awarded by the city,
state and Volkswagen; this includes
more than $204 million for Volkswagen
contractors and subcontractors, with
another $230 million over the next 20
years.
“With production on schedule, it
appears Volkswagen may be timing the
market just right. They’re gaining market share and there will likely be pentup demand when the recession comes

to an end. I’m anxious for the day when
the first cars roll off the assembly line
in 2011,” said U.S. Senator Bob Corker.
“Through twists and turns, Chattanooga
maintained focus, invested wisely and
exercised tremendous effort and energy in recruiting a major employer to our
community. Volkswagen has broken an
economic barrier in Chattanooga, and
today marks another milestone on a
path that will take our community, our
state, and our region to levels we can
only begin to imagine today.”
With the construction of the
Chattanooga factory, Volkswagen is
also assuming special responsibility for
the environment. Apart from energysaving ventilation systems which compensate for fluctuations in outside
temperature, the production halls will
also feature efficient industrial lighting
systems with reflectors. Furthermore,
Volkswagen is partnering with the state
and city to distribute saplings for every
tree displaced by the construction of the
Volkswagen plant. As part of that commitment, today VWGoA Chattanooga
Operations donated 20 saplings to the
city of Chattanooga at the wall raising
event.
Moreover, Volkswagen is making
a commitment to the people in the
region. At the end of March, Volkswagen
already announced it would be participating in the “Partners in Education”
program, contributing some $5.3 million over a five-year period. The partners are regional universities as well

as vocational training institutions and
local schools.
“The first wall of the production
facility going up is another sign that
Volkswagen is a part of our community and here for the long haul,” said
Congressman Zach Wamp. “It is exciting to see a next-generation and environmentally-friendly manufacturing
plant being built in the heart of the
Tennessee Valley Technology Corridor.
At a time when unemployment is rising across the nation, it is encouraging
to know this billion dollar investment
will continue to create new jobs in our
region.”
In 2008, the Volkswagen Group
produced 6.347 million vehicles worldwide, of which 66.2 percent (4.201
million vehicles) were built outside
Germany. The Chattanooga factory will
be the 62nd facility in the production
network of the Group with its nine
brands.
The goal of the Volkswagen
Group is to triple sales in the U.S. by
2018 under its growth strategy. This
strategy is based on the five pillars of
product strategy, brand strategy, dealer
network, organization and local production. The new strategic orientation
coincided with the relocation of the
Volkswagen Group of America headquarters to Herndon, Virginia, in early
2008. In spite of the market downturn,
Volkswagen grew market share in the
first four months of the year by 43 percent.n

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July 2009

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Drawing Sepember 30, 2009

House Subcommittee Holds Hearing on Federal Regulation of Insurance
The U.S. House of Representatives
Committee on Financial Services’
Subcommittee on Capital Markets,
Insurance and Government Sponsored
Enterprises recenlty held a hearing that
addressed how the federal government should oversee the regulation of
the insurance industry.
Rep. Paul Kanjorski, D-Pa., subcommittee chairman, opened the hearing with a statement that reflected the
growing interest in the federal regulation of insurance. Rep. Kanjorski also
indicated that he planned to move
quickly on federal oversight legislation for insurers. However, committee member statements clarified that
there is limited consensus on how to
modernize the U.S. insurance industry.
Witnesses at the hearing included:
• Baird Webel, specalist in Financial
Economics, Congressional Research
Service;
• Patricia Guinn, managing director, Global Risk and Financial Services
Business, Towers Perrin;
• J. Robert Hunter, director of
insurance, Consumer Federation of
America;
• Martin F. Grace, James S. Kemper
professor, Department of Risk

Management and Insurance, Georgia
State University; and
• Scott Harrington, Alan B. Miller professor, Wharton School, University of
Pennsylvania.
Webel’s testimony began with a
brief description of the current state of
the insurance and financial industries.
He then differentiated between life
and property/casualty insurance and
offered seven options for the federal
government’s role in insurance regulation. During his testimony, Webel said,
“Property/casualty companies have
generally shunned federal aid, with one
industry group arguing strenuously that
property/casualty insurers typically do
not present systemic risk and the federal government should avoid providing
assistance to them.”
Webel outlined seven current policy options for Congress to consider:
• Do Nothing
• Create a Federal Office of Insurance
Information
• Harmonization of State Laws Via
Federal Preemption
• Create a Federal Systemic Risk
Regulator
• Create a Federa Solvency Regulator
• Establish a Federal Insurance
Charter

• Reform the Complete Financial
Service Regulatory System
Grace, an advocate for federal
regulation of insurance, also testified at
the hearing. He believes that to have an
effective system in current times, the
federal government must regulate the
insurance industry. He said, “In insurance, the focus of regulation has been
on the individual company and not on
the group or holding company. This
needs to change, at some level, to allow
for the proper accounting of systemic
risk. A state regulator cannot realistically regulate an insurer for its possible
systemic effects on national and international markets especially in situations
where the insurer within the state is a
separately organized corporation from
the corporation which might induce a
systemic risk issue.”
Moreover, Grace explained that
an Optional Federal Charter (OFC) system is outdated because it is based on
a structure designed in the 1860s.
“Today’s problem is not based on
regulation of solvency, market conduct
or insurance pricing that have been
undertaken by the states. It is, instead,
the problem of systemic risk which, for
the most part, has not been an issue
Insurance Please Turn to Page 28

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Southern Automotive Journal

23

FX From Page 21
The new FX includes an array of
advanced available technology systems.
The Intelligent Brake Assist (IBA) system uses the laser rangefinder from the
Intelligent Cruise Control’s (ICC) system
and analyzes closing speeds to an obstacle ahead to help prevent or reduce
damage caused by a rear-end collision.
FX is the only vehicle in its class (besides
the Infiniti EX) to have IBA.
If a forward collision is imminent
with the vehicle in front of the FX and the
driver must take immediate avoidance
action, the system sounds a warning
to prompt driver action. When a rearend collision cannot be avoided by the
FX driver’s action, the system activates

2

Southern Automotive Journal

the FX’s brakes to decelerate the vehicle,
thereby helping to reduce damage resulting from the collision. IBA can apply up
to 0.5g braking force (1.0g is considered
close to the maximum possible braking
force).
Also available on the FX is a Distance
Control Assist (DCA) system. Designed for
low-speed, heavy traffic situations, DCA
uses the Intelligent Cruise Control sensors
to measure distance to the car ahead.
The DCA allows one-foot driving in
heavy traffic – the driver depresses the
accelerator to move forward, but when
the car ahead slows, DCA “pushes back”
on the accelerator pedal and automatically applies the brakes, even to a stop.
The driver then depresses the accelerator to get moving again. DCA will only

July 2009

apply a predetermined amount of brake
force. If the closing distance to a vehicle
ahead of the FX decreases too rapidly, a
warning will sound, alerting the driver to
further depress the brakes.
The available Intelligent Cruise
Control (Full Speed Range) system combines the brakes, throttle sensor and
laser rangefinder with the cruise control
system to automatically maintain a set
distance between the FX and a vehicle in
front of it. The system assists the driver
with acceleration and deceleration in
the low speed range (between 0 and 25
mph), such as when driving in congested
traffic and stops the FX if traffic requires.
Available on all 2009 FXs is the
advanced Infiniti Lane Departure
Prevention (LDP) system, which takes
Infiniti’s existing Lane
Departure Warning system
(introduced on the previous generation FX) one
step further. LDP utilizes
the FX’s Vehicle Dynamic
Control system to apply
slight brake pressure to
the wheels opposite the
side of the lane departure
direction to help prevent
the vehicle from inadvertently traveling out of its
intended lane.
The Infiniti FX’s
Around View Monitor system, first introduced on
the new Infiniti EX35, utilizes four small superwideangle cameras – mounted
on the front, side and rear
of the FX – to project an
all-around view of potential objects on every side
of the vehicle, helping
reduce blind spots when
parking.
The system uses
advanced image processing to provide a unique
“Birds-Eye View” of the
vehicle, making it easy for
the driver to position the
FX for parallel parking by
simultaneously confirming the exact placement
of the front and rear of the
vehicle.n

SCRS 2009 Affiliate Leadership Conference to be Held in September
With three previous years of rave
reviews, the Society of Collision Repair
Specialists (SCRS) is pleased to announce
the dates of their fourth annual Affiliate
Leadership Conference, taking place at
the I-CAR World Headquarters in Hoffman
Estates, Illinois.
Based on feedback and increasing participation of the SCRS’ affiliate
associations, the once one-day event has
expanded to a two-day series, and is
scheduled to run from 10:00 a.m. to 5:00
p.m. on Wednesday, September 16th and
8:00 a.m. to 12:00 p.m. on Thursday,
September 17th, 2009.
Past
Affiliate
Leadership
Conferences have provided a roundtable-style atmosphere for SCRS’ affiliate associations to discuss the endeavors, challenges and successes made on
behalf of their members on the local

level; while simultaneously affording the
opportunity to learn from their peers’
activities in other states across the nation.
“The initiatives, efforts and perspectives
of our affiliate associations have long
been the foundation for the work of our
organization,” says Aaron Schulenburg,
SCRS Executive Director. “The Affiliate
Leadership Conference not only embraces those core grass-roots level initiatives
by placing them center stage in the event,
but we believe those initiatives can be the
driver in developing logical and relevant
solutions to the issues facing our industry. Growing the conference to include a
conclusive work product at the end that
is fed by the collective insight of our affiliates will hopefully deliver tangible results
back to those 34 affiliates in attendance,
and more importantly, to the thousands
of individual businesses who continue

VOLVO

to support these associations in hopes of
workable solutions to trying issues.”
While the agenda and details of
the meeting have not been finalized, the
format of the meeting in 2009 will bring
much of the same value as previous years,
with some exciting new additions to the
conference model that will challenge the
experience and knowledge brought by
the participants to examine a key issue
within the industry while looking at
model solutions.
For information about the upcoming Affiliate Leadership Conference,
please contact Executive Director Aaron
Schulenburg at (302) 423-3537 or via
email at aaron@scrs.com. You may also
contact the SCRS administration office
at (877) 841-0660 or via email at info@
scrs.com. E-mail address: info@scrs.com •
Website:http://www.scrs.com.n

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July 2009

Southern Automotive Journal

25

Hayes Chrysler Dodge Jeep Growing Its Aftermarket Collision Parts Business
Opens an Additional Distribution Center in Macon
Hayes Chrysler Dodge Jeep has
been growing its aftermarket collision
parts business. March sales were the
highest ever followed by another record
breaking month in April. This success
is in no small part due to the expertise
brought to the table by 19-year aftermarket-parts veteran Keli Smith.
Joining Hayes Chrysler Dodge
Jeep in June of 2008, Smith had worked
for Pamona, Calif.-based Keystone
Automotive Industries since graduating high school. During those nearly
two decades, he developed a solid customer base and business relationships
with scores of repair shops in southern
Georgia. “I’m hiring you for your aftermarket experience,” Smith remembers
being told when he signed on to Hayes.
He has more than pulled his weight since
joining the Hayes team.
Working out of his Macon Office
just south of Macon in Byron, Smith continues to service his well-established
customer network from Griffin to the
Florida state line. His first four months
were occupied getting familiar with the
Hayes system and moving just aftermarket parts. He took classes in OE parts to
get up to speed with that aspect of the
business and now handles it all. “I don’t
sell to shops that were already being
serviced by other Hayes parts people,”
He explained. “I concentrate on other
shops that I have serviced in the past.”
The strategy works.He has made a large
contribution to the overall success the
aftermarket division of Hayes has recently experienced.
When Smith joined Hayes, an outside contractor made the South Georgia

2

Southern Automotive Journal

deliveries. It was inefficient and customer
service was lagging. Shortly after Smith
was hired, Hayes hired its own drivers
and dedicated a fleet of new trucks to the
region. Currently five delivery trucks operate out of a nearby warehouse and service
routes throughout lower Georgia.
Jerry Busbee and Earl Dorsey handle
the outside sales duties, while Smith mans
the phones. Smith predicts business will
continue to increase. With two days left
in May, sales were again on track to set
another monthly record.n

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Insurance From Page 23
with the insurance industry. Further,
systemic risk is of national scope rather
than state,” he said.
Hunter, also at the hearing, reiterated the Consumer Federation of
America’s (CFA’s) support for the repeal
of the McCarran-Ferguson Act. He did
outline points for Congress to consider
in defense of continued state regulation. He said:
• “While the CFA supports a greater federal insurance role, we vigorously
oppose an optional federal charter,
since such a system cannot control sys-

28

Southern Automotive Journal

temic risk, has failed miserably in protecting banking consumers and sets up
pressures that can only lead to reduced
consumer protections through regulatory arbitrage.
• “We believe that consumer protection is best accomplished at a government regulatory level close to the
people, and we therefore believe that
the states should continue to handle
consumer protection regulation at this
time.”
Bob Redding, the Automotive
Service Association’s Washington, D.C.,
representative, said after the hearing,
“There are members of Congress who
want to help us with the federal regula-

July 2009

tion of insurance and the repeal of the
McCarran-Ferguson Act, but collision
repairers will have to communicate
with their representatives to let them
know they support these issues. We
encourage collision repairers to join
ASA to help advocates for insurance
reform succeed.”
ASA’s collision members will
be on Capitol Hill this summer, asking members of Congress to support
the federal regulation of property and
casualty insurance and the repeal of
McCarran-Ferguson. To participate in
ASA’s Capitol Hill Fly-In, visit ASA’s legislative Web site, www.TakingtheHill.
com.n

NADA Commends
President’s Support for
National Fuel Economy
Program
The following statement
from the chairman of the National
Automobile Dealers Association,
John McEleney, is in response to
the White House announcement of
a new national fuel economy and
greenhouse gas program:
“NADA commends President
Obama for making the right decision to embrace a federal fueleconomy standard over an unworkable patchwork of state-based
laws. NADA is also pleased that the
Environmental Protection Agency
and National Highway Traffic Safety
Administration will use a system
based on a vehicles’ ‘attributes,’
such as size and engine type. This
will help dealers to have a mix of
cars and trucks available on their
lots that meet the needs of their
customers.
“Dealers are also heartened
by the President’s intent to have
the EPA and NHTSA coordinate their
regulatory efforts. Implementation
of this next step, however, could
turn out to be challenging because
these agencies have two very different goals under federal law. NADA
is looking forward to hearing more
details of how EPA and NHTSA will
reconcile their differences and how
their program will actually work.
“Dealers have long supported
fuel economy improvements that
are feasible and affordable. NADA
will work with both EPA and NHTSA
to ensure they fully consider how
changes in the nation’s fuel-economy standard will impact jobs, vehicle safety, consumer demand and
vehicle affordability. At issue is not
whether manufacturers are capable
of building cars and trucks that comply, but more importantly, whether
the motoring public will want to buy
them.”n
July 2009

General Motors’ initiatives for
developing new, fuel-saving technologies have led its engineers to put the
squeeze on gasoline – literally.
GM’s continuing development
of homogenous charge compression
ignition (HCCI) is pushing this promising, fuel-saving and emissions-reducing engine technology closer to production reality. An HCCI engine, when
combined with other advanced technologies, provides up to 15 percent
greater fuel economy than a comparable, non-HCCI engine by radically
altering the combustion process.
“HCCI delivers enhanced fuel
savings without sacrificing the performance consumers have come to
expect,” said Prof. Dr. Uwe Grebe,
executive director for GM Powertrain
Advanced Engineering. “It is a great
example of how GM is developing
advanced engine technology for consumers that squeezes more miles per
gallon of gas and reduces emissions.”
In general terms, the heat and
pressure within an HCCI engine’s cylinders are used to ignite the air/fuel
mixture without the aid of a traditional
spark-generated flame – roughly analogous to the combustion process of a diesel engine. Heat is a necessary enabler
for the HCCI process, so traditional spark
ignition is used when the engine is cold
to generate heat within the cylinders
and instigate “auto-ignition” of the mixture.
More than a laboratory experiment, HCCI has been successfully demonstrated in prototype models in North
America and Europe. Last spring, GM
took the technology on the road, putting journalists and others in an HCCIequipped Saturn Aura for real-world
drives in Los Angeles, Washington, D.C.,
and New York. The vehicle featured the
breakthrough of auto-ignition (HCCI)
from idle to 60 mph, which significantly
advances the benefits of HCCI and the
viability for production.
The increase in the HCCI operating range of the prototype vehicle is
the result of a patented mixed-mode
calibration that includes pre-reacting
fuel and exhaust gas in the cylinder to
bolster the pressure and heat needed
for auto-ignition.
30

faster at lower temperatures and reducing the heat energy lost during the
combustion process. Consequently, less
carbon dioxide is released because the
engine’s operation in HCCI mode is more

efficient.
During HCCI mode, the engine
approaches the efficiency of a diesel,
but unlike a diesel, it requires only a
conventional exhaust system. Diesel
engines require more elaborate and
more expensive exhaust “aftertreatment” to reduce emissions.
The success of HCCI development, to date, is tempered by challenges that must be overcome before
it hits the primetime of production.
Control of the combustion process
over the wide range of operating conditions experienced in everyday driving is the greatest challenge, because
unlike a conventional-ignition engine,
HCCI’s combustion is not controlled by
precisely timed spark events. Ensuring
auto ignition at extreme te mperatures
and in the thinner air of high altitudes
are the tallest hurdles to overcome.
“GM’s global HCCI team is working to refine the technology in the
wide range of driving conditions
experienced around the globe,” said Dr.
Grebe. “By combining HCCI with other
advanced gasoline engine and control
technologies, we can deliver a good fuel
savings value for consumers.” n

Southern Automotive Journal (ISSN: 1092-6321) is published monthly by
Southern Automotive Journal Inc. P.O. Box 675097, Marietta, Ga 30006-0009.SAJ
accepts no responsibility for the opinions, views statements of the authors or
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those of the publication. Subscription: $12.00 per year.
No representation is made as to the accuracy or the completeness of the information provided by this publication. Entire contents copyright 2009. All rights
reserved.
July 2009

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